Dow Jones plunges over 500 points

Story from The Takeaway. Listen to audio above for full report.

The Dow Jones Industrial Average plunged over 500 points Thursday, in a small free fall that indicated global fears about the world’s economy. With a down-to-the-wire debt fight in Washington, a European debt crisis yet to be solved, and a U.S. jobs report out tomorrow that has investors on edge, the dip showed widespread uncertainty about the economy’s ability to recover.

The New York Times reports that the day’s dive erased all of the market’s gains in 2011.

While the private sector added 114,000 jobs in July, layoffs in the U.S. reached a 16-month high. Meanwhile, the Department of Agriculture says the more Americans are receiving food stamps than ever before. The Pew Research Center released a study last month finding that women are having more difficulty than men re-entering the work force.

All of this news comes on top of the figures released by the Commerce Department last Friday showing that the economy has only grown by a dismal 1.3 percent.

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“The Takeaway” is a national morning news program, delivering the news and analysis you need to catch up, start your day, and prepare for what’s ahead. The show is a co-production of WNYC and PRI, in editorial collaboration with the BBC, The New York Times Radio, and WGBH.